Ericsson acquired service assurance and network analytics firm CENX in an all stock deal. The price of the acquisition was not disclosed, but Ericsson said it will provide more details during its third quarter earnings report. The deal is expected to close in the third quarter.
CENX’s closed-loop automation software and service assurance capabilities can incorporate network data from multiple domains and from both physical and virtual infrastructure. That data is then turned into a real-time network map that shows service topology, inventory, fault, and performance.
Ericsson was already an investor in CENX and has held a minority stake in the firm since 2012. The company initially plans to sell CENX products in their current form but will eventually work on joint products that will incorporate CENX capabilities.
The company said that CENX’s closed-loop automation and service assurance capabilities will enhance the company’s existing network functions virtualization (NFV) and orchestration software. It also said that CENX’s capabilities will be beneficial as operators transition to 5G and need additional capabilities so they can automate network slicing and keep operational costs down.
Verizon is a CENX customer. The service provider inked an NFV deal with CENX earlier this year. CENX provides the carrier with analytics so that it can see how its physical and virtual components across its multiple networks and data centers are operating at all times.
Ericsson said that all 185 CENX employees will become Ericsson employees, including CENX CEO Edward Kennedy. Kennedy was appointed CEO in June taking over for interim CEO Kim Butler, who stayed on with the company in her previous role as CFO. Butler was named interim CEO in July 2017 when CENX’s previous CEO Ed Ogonek retired.